"Magic sucks at TA! Can't he see that it's an 87 wave 123, ABCDEFG correction, with a nick-nack patty wack?" LOL Wait a minute, wait a minute. I have another one. How about "Yeah Magic doesn't know what he's talking about. I'm going looooong, it's going to moon from here for sure." How about this one "What are you talking about Magic, that high sell volume is a buy signal!" and "The RSI is way oversold. Only an idiot named MagicPoopCannon would think it's going lower from here."
When will they ever learn?
Welcome friends, foes, traders, pro's, and the little guys who are still on their training wheels. You know, the ones who carry big megaphones and shout about how wrong I am all the time, while their positions get decimated. I guess they should have been on team Magic. Anyway, let's get right to it! Looking at the four hour BTC chart, we can clearly see that the bear flag breakdown has occurred, and BTC is now back inside of the downtrend channel (in pink.) With that said, I am now in full bear mode. I know that the inverse head and shoulders pattern is still technically valid, but I will not go long, unless we get back above the channel, or we see a capitulation recovery on big volume. This is extremely bearish price action, and technically, what we could have here is a big failed breakout of the downtrend channel. You can see that on 2/27 we got above it, and then we just smashed back into the downtrend channel, which is not a bullish development, by any means.
Now that BTC has fallen back into the downtrend channel, we could see some consolidation. It's also possible that we turn to test the pink trendline of the channel that we've just broken into. You can see right now that a bit of support is being found right now, on the 78.56% retrace. This level is going to be critical in determining whether or not we consolidate or continue to plummet lower. If the 786 is lost, the next stop will probably be around 7585. However, if the 786 holds, we could consolidate, and test the pink trendline, to see if it will act as resistance. If that happens, we could see a major continuation in the bear market.
On the MACD, you can see that it is continuing to expand to the downside, as the sell side volume consumes the chart. However, the sell volume is decreasing, which leads me to believe that we could see a reversal somewhere around here. With that said, you should never try to catch a falling knife. BTC is a falling knife right now, and personally, I'm going to remain in the safety of cash, until the time is right.
I want to draw your attention to the trough on 1/17. You can see that it was slightly deeper than the trough of the left shoulder of the inverse head and shoulders pattern. Now, here we are creating a deeper potential trough than the right shoulder. In terms the symmetry of this pattern, it isn't far fetched to think that we could reverse here, and retest the blue neckline, after forming a nearly mirror retracement of the one at the beginning of the pattern. There currently is no indication of that. I'm only speculating on the possibilities.
To be clear, BTC is falling like a rock, the momentum is expanding, and the sell volume is healthy, but dwindling. BTC is back inside of the downtrend channel, and it has technically formed a lower lower high, and now a lower low. The inverse head and shoulders pattern is still technically valid, but the current bias remains to the downside. A break below the 786 should send BTC down to the 7585 level. This has been your not-so-humble market wizard, droppin' knowledge like bombs in this place! Please follow, comment, like, and share on social media. Good luck trading everyone!
***This information is not a recommendation to buy or sell. It is to be used for educational purposes only.***
-Magic loves you-
-JD-
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There is a possible second bear flag in BTC. Price action is testing the top of the pink downtrend channel again, as it trades inside of the flag.
I think you can begin to leave out your intro and out tro. We know you have haters, and nobody really cares and you should not either. You seem like a idiot to keep boosting your ego every day. I thought you was being sarcastic and would stop some day but you never stop. No sane and good hearted person without a ego problem blows his own baloon/horn up like that 24/7. Everybody knows you are good and you got haters. Please begin to just focus on what matters and ignore all the other :)
Why not just seem like a nice guy with sick skills instead of a idiot with a ego problem? Unless it is your marketing strategy and you think being nice will hinder your goals of getting more known/famous...but famous for what? Keep it real bro :)
AndersBitcoinSorensen
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@AndersBitcoinSorensen, I guess it also may be a strategy that works for you to combat the hate. I know the hate can be hard to cope with and manage. So I do understand that, but there must be a better way to manage/cope with it. But looking at your followers should be enough to combat the hate in reality. And remembering worst haters are losers who are jealous. We see tons of those in the chat spamming their TA predictions and charts lol.
earthling
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@AndersBitcoinSorensen, I think MP is a "sane and good hearted person." DO MORE OF WHAT MAKES YOU HAPPY! I love MP's schtick! Its clever and fun. AND I think we should steer away from the PA (psychology Analysis) , and keep to the TA so we can all make lots of money! Big THANK YOU to Magic for showing time, and time again the points of resistance and support, and showing other indicators to show which way BTC is likely to turn :)
Poukitoun
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Poop is bearish = Super bullish signal for BTC :P
Zarathustra_III
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@Poukitoun, Yes, he missed 5800 to 9500, where he finally got bullish, and from where he finally got bullish, he gained nothing, and now went short and got under water again.
KenBkk
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@Zarathustra_III, No trader is always correct. Missing a profitable trade as part of risk management is the correct thing to do.
whodat692
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@KenBkk, Is that you, MGP cannon's little butt boy? How much does he pay you for you apologia. Or is that what you owe him for hugging his nutz?
Zarathustra_III
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@KenBkk, Yes, but the problem with Poop is the sad fact that he claimed to have called reversals that he never did.
Poukitoun
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@Zarathustra_III, I mean we have to give credit for Poop for doing all of this work for free, Poop has no obligations towards us. I just feel bad for those following his advice like a god and then getting screwed and panic when he changes from super bullish to super bearish overnight. It would have been wiser for Poop to remain neutral this whole time and only once the iH&S was confirmed or even after the target was reached, then fair enough you can get cocky as much as you want since you got it right. At the end of the day is upon everyone to take responsibilities for their own actions, trade wisely & good luck ;)
JaDeVin
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@Poukitoun, to defend him. Bitcoin is very shaky, which big volatile swings which cause you to change you sentiment very quickly. As good trader you try to seize any opportunity of making cash if your trading strategy says so. I think it is quite remarkable that someone is willing and "brave" enough to share its thoughs here, in particular for Bitcoin when cryptocurrency mania is sweeping across the whole world like the latest craze. You know the idea of becoming rich just because of buying some coins and keep "hodling".
Why not just seem like a nice guy with sick skills instead of a idiot with a ego problem? Unless it is your marketing strategy and you think being nice will hinder your goals of getting more known/famous...but famous for what? Keep it real bro :)